FinWise Bancorp (NASDAQ:FINW) Q4 2023 Results Conference Call January 29, 2024 5:30 PM ET
Company Participants
Kent Landvatter - CEO and President
Jim Noone - President
Javvis Jacobson - Chief Financial Officer
Conference Call Participants
Andrew Terrell - Stephens
Andrew Liesch - Piper Sandler
Operator
Greetings, and welcome to FinWise Bancorp Fourth Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation [Operator Instructions]. As a reminder this conference is being recorded.
At this time, I would now like to turn the floor over to the FinWise Bancorp team. Thank you. You may begin.
Unidentified Company Representative
Good afternoon. And thank you for joining us today for FinWise Bancorp's fourth quarter 2023 conference call. Earlier today, we filed our earnings release and posted it to our investor Web site at investors.finwisebancorp.com. Today's conference call is being recorded and webcast on the Company's website, investors.finwisebancorp.com.
On today's call, management's prepared remarks and answers to your questions may contain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ from those discussed today. Forward-looking statements represent management's current estimates, expectations and beliefs, and FinWise Bancorp assumes no obligation to update any forward-looking statements in the future. We encourage listeners to review the more detailed discussions related to these forward-looking statements contained in the company's earnings press release and filings with the Securities and Exchange Commission.
Hosting the call today are Kent Landvatter, CEO and President of FinWise Bancorp; Jim Noone, President of FinWise Bank; and Javvis Jacobson, Chief Financial Officer. With that, I will turn the call over to Kent.
Kent Landvatter
Good afternoon, everyone. And thank you for joining us on our fourth quarter 2023 earnings conference call. 2023 was another successful year as our differentiated business model, coupled with a disciplined approach and strong execution, continued to demonstrate resilience. We produced solid loan originations and delivered positive returns. Specifically, for the fourth quarter, we had approximately $1.2 billion in loan originations. Credit quality continued to perform as expected and generally in line with industry trends, notwithstanding an increase in nonperforming loans in the fourth quarter. This increase was driven primarily by the continued impact of higher rates on our SBA loan portfolio. While our collateral and portfolio management processes continued to serve us well, the level of net charge-offs increased quarter-over-quarter. We continue to feel positive about the SBA portfolio, its growth and credit characteristics and the level of net charge-offs at the bank, which have been generally in line with our expectations. Turning to capital. At the end of the fourth quarter, our bank leverage ratio remains significantly above well capitalized regulatory guidelines, which we believe provides us with sufficient capital to continue to support growth. Tangible book value per common share also continued to increase this quarter.